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The Business Model of Amazon - Coursework Example

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The paper "The Business Model of Amazon" discusses that Amazon.com is an online website that specializes in the sale of numerous goods ranging from books to toys and other goods. The company started in 1995 and had a number of strategies that allowed the company to grow…
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The Business Model of Amazon
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II. Has it entered the harvest stage that CEO Jeff Bezos promised would eventuate?

As of 2001, the company had started to realize some profits when its sales exceeded 3.12bn. In 2002, the company made a modest profit of 64 million dollars. In 2003, the company made profits of 814 million dollars. This thus indicates that eventually, the harvest did come.
III. Is Amazon.com a natural acquisition target for Wal-Mart?
Wal-Mart dominates much of the retail market (Taylor 2007). It has a network of retail outlets and would be a good fit for Amazon, which is a dominant online player.
IV. Imagining back to 2003 is the Amazon.com business model looking ahead 5 years. Is it the right model looking toward 2015?
In 2003, the business vision of the company changed to a place where people could buy anything (Stockport 2004). According to Bezos, e-commerce was the way of the future. This was an accurate estimation as the internet has dominated everyday life. It is a cheaper and more efficient means of communicating as well as a trading hub.

V. Should it continue to be all things to all people?
According to the numbers, the concept of being all things to all people is quite an impressive and profitable business vision. This is because it allows the company to diversify, thus having some form of safety net. Some products may not make profits and thus are kept afloat by those that are popular. The concept also means that the company is flexible and a one-stop shop.

VI. Is the logical end game scenario to be the Wal-Mart on the internet?
According to the vision of the founder, the driving factors of the business are technology, technology, and technology (Stockport 2004). This means that the company will focus on technology as its real estate. The company has a lot of potential in terms of its capabilities of achieving. At the moment, Amazon.com has only but a while to become the dominant player in the online market. The company has ensured that this will be a reality through some of the features that it has put in place. These features will see to it that the payments are secure, a simple method of ordering as well as a fast delivery system. With this, this company is on the right path to being the Wal-Mart of the internet. Read More
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